Pioneer Inc.

Summary Financial Statement information at/as 12/31/2018

BASE INFORMATION

Cash $24,300

Short-term Investments $28,100

Accounts receivable, net $90,600

Inventory $116,800

PRepaid Expenses $11,300

Total assets $662,700

Short-term Notes payable $50,000

Accounts payable $78,300

Accrued liabilities $32,500

Long-term Notes payable $150,000

Other long-term liabilities $41,200

Net Income $82,900

Number of Common Shares Outstanding 35,000

Evaluate each of the following as independent transactions (in other words calculate the ratios three times, once for each new bit of accounting information below. Do not accumulate the transactions (do not add transactions in 2b to what you did in 2a, Post 2b transactions to the base financials above).

2a. Purchased merchandise of $35,600 on account, debiting inventory

2b. Issued 6,000 shares of common stock, receiving cash of $75,000. Use total shares outstanding at year's end instead of average shares outstanding.

2c. Borrowed $45,000 on a long term note payable.

2d. Received cash on account of $12,000